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Recover embezzled funds with 12% interest, says govt

ranchi Updated: Sep 06, 2014 16:54 IST
Anbwesh Roy Choudhury

The state finance department has ordered the Rajendra Institute of Medical Sciences (RIMS) to recover from its officials Rs. 9.75 crore, which was allegedly misappropriated, with 12% interest.

Following a Principal Accountant General (PAG) report that revealed a Rs. 41.88-crore bungling in RIMS, the department issued the order for recovery of the embezzled amount in an August 19 letter.

Financial anomalies like under-utilisation, misappropriation and unfruitful expenditure of funds were revealed in PAG Mridula Sapru’s audit report on the state-run institute for 2013-14 fiscal.

The letter was sent to RIMS and the health department by former finance secretary AP Singh.

The interest was levied on misappropriation of receipts by outsourcing agencies and temporary advances and food supplies.

Joint secretary BK Mishra said, “There are anomalies in almost all administrative departments of the hospital-cum-medical college. It will be a tough job for the authorities to recover the amount and submit a report.”

The letter says several construction projects were left incomplete and no utilisation certificates were submitted, Mishra said. “The PAG has raised objections on a total of 60 points,” he added.

The finance department in its letter said RIMS has become a centre of financial irregularities and misappropriation, and that the institute is an example of administrative failure.

RIMS director Dr SK Choudhary refuted the comments. Under the scanner are former director Dr Tulsi Mahto and Choudhary who was superintendent in the last fiscal.

The finance department recommended an independent committee of the health department to look into fund mis-appropriation in central and state schemes like Prime Minister Swasthya Suraksha Yojana and Janani Shishu Suraksha Abhiyan.

If RIMS fails to explain, the department could stall annual release of funds to run daily affairs of the hospital, medical college and payment of stipends and salaries.